• @mipadaitu@lemmy.world
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    222 months ago

    Someone has to buy the stock that he sells. It doesn’t magically turn into money cause it has a listed value that day.

    Sure, there can be some money laundering and foreign “investments” but the SEC really doesn’t like stock manipulation.

    • snooggums
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      172 months ago

      The SEC doesn’t do jack shit about anything. The SEC are toothless pretend watchdogs created by and staffed by former stock marketers who exist for the sole purpose of making the public think there is oversight and accountability.

      It is the stock market version of the police’s internal affairs.

    • @givesomefucks@lemmy.world
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      12 months ago

      It’ll definitely cause the price to drop and will probably destroy the company’s selling so much at once.

      But it happens all the time.

      And trump supporters are 100% dumb enough to “buy the dip”.

    • @FlowVoid@lemmy.world
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      02 months ago

      The listed value is more or less the amount currently being offered by people who want to buy the stock. So if it has a listed value then he can sell it.

      • @mipadaitu@lemmy.world
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        92 months ago

        If there’s a single copy of a comic book that sells for $1,000 that doesn’t mean you can sell 100 of them for that price.

        If there’s a couple dozen shares of a stock selling for $15, that doesn’t mean there’s enough buyers to pay for a million of them at that price.

        If trump dumps all his shares, the stock price will crash, and eventually there won’t be ANYONE to buy the stock and the price will be effectively $0.

        • @FlowVoid@lemmy.world
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          02 months ago

          Comic books don’t have market makers. Stocks generally do.

          They act as intermediaries so individual stock buyers don’t have to find individual stock sellers. Which means the companies that agree to act as market makers are always willing to buy a stock and always willing to sell it. When buyers and sellers don’t balance, they adjust the stock price until they do (always making a slight profit on arbitrage).

          • @obviouspornalt@lemmynsfw.com
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            22 months ago

            Market makers aren’t idiots. They’re not going to provide liquidity to allow someone to dump thousands of lots of this piece of shit listing on them.

            The “adjust the price until they do” part is the piece of your comment that’s relevant here.

            • @FlowVoid@lemmy.world
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              2 months ago

              Sure they will. In fact they provide liquidity for stocks that are equally shitty as this one.

              And of course if someone is dumping a lot of stock all at once then they will pay less and less for each unit. But even they are only paying pennies at the end, they won’t stop buying it.